ISLAMABAD, July 4, 2025: Oil & Gas Development Company Limited (OGDCL) has formally denied any involvement or knowledge regarding media reports suggesting a government-backed settlement of Pakistan’s circular debt. In an official response to a letter from the Pakistan Stock Exchange (PSX), the company clarified that the reports circulating in print and electronic media are based solely on the interpretation and opinion of the article’s author.
The news article in question, titled “The Silent Transition in Circular Debt: Fiscal Year Closes, Market Awaits Clarity”, has raised concerns among investors and regulatory authorities about potential government action on circular debt. However, OGDCL has asserted that it has not received any official communication from the federal government related to the matter.
“The Company has not received any official communication from the Federal Government regarding the settlement of circular debt. Accordingly, in the absence of such communication or receipt of any settlement amount, the question of making any disclosure does not arise,” the company stated in its letter signed by Company Secretary Wasim Ahmad.
Read More: Chairman OGDCL Zafar Masud’s Book ‘Seat 1C’ Launched in Islamabad
OGDCL also reaffirmed its commitment to transparency, assuring that any material information relevant to disclosure obligations would be shared with stakeholders as per standard regulatory practice.
“OGDCL remains fully committed to compliance with applicable rules and regulations. Any material information that falls within the scope of disclosure requirements shall be promptly disseminated,” the statement added.
This clarification comes amid heightened speculation in the energy and capital markets regarding government efforts to address the longstanding circular debt issue that has strained the country’s power and petroleum sectors.
The letter has also been copied to the Securities & Exchange Commission of Pakistan (SECP) to ensure all regulatory bodies are aligned on the company’s position.
Read More: OGDCL Posts Impressive Rs. 129.6 Billion Profit in 9MFY25
